Wednesday, 27 August 2014

INTEGRATED MARKETING COMMUNICATION

INTEGRATED MARKETING COMMUNICATION



IMC is an approach to brand communications where the different modes work together to create a seamless experience for the customer and the communication is presented in such a way that the brand's core message is reinforced.
All aspects of marketing communications advertising, PR, digital, sales promotions work as a unified force towards a goal of stronger brand and better sales.

Above The Line (ATL): Mass Media communication. Like Advertising, Radio, OOH, Print and cinema. This is targeted to a larger spread of audience

Below The Line (BTL): This is more one to one. BTL marketing with direct consumer outreach programmes make the most sense when there is a small target group or you cater and promote to special classes. Example Events and Experience, PR promotions, Direct Marketing, Personal Selling and Sales Promotion.

Surf Excel carries out ATL promotions through heavy advertisements on Television and regular advertisements through print media.
Since it is an FMCG product there are regular promotion schemes as they give out offers and discount scheme at different stores across India.

PROMOTION


PROMOTION

Surf Excel's promotion strategy has evolved with time. The company mostly advertises on OOH and television advertisements.

Following are their campaigns:
  • 1970s : Lalitaji, Surf ki kharidaari mein hi samajhdaari hai




After the launch of lower priced brands it had to show make the consumers aware that how it was economical than others. Lalitaji was shown as a smart and prudent homemaker who is conscious of her budget but will not compromise on quality.
  • 1990s : Daag hoonde reh jaoge
Surf Excel led the way by introducing Surf Ultra and and the ad showed the confidence of the homemaker who were ready to challenge anyone to find a fault with their choices or laundry.
  • 1999 : Surf Excel hai na
The superiority was established with an image of Surf Excel stain remover.
  • 2002 : Save 2 buckets of water
As water shortage was the problem in many geographies, their new campaign was that Surf Excel has low foam formula and can remove stains using 2 buckets less water. Revathi and Shabana Azmi were roped in to promote this campaign.
  • 2005 : Daag Ache hai


This was the most risky campaign till date as it is supposed to be a stain remover and it promoted that stains are good. It immediately made a strong impact on people as it was high on the emotional side. It showed that mothers let their kids free and were not worried about dirt as the child experiences life and does good deeds.

Though Surf Excel has hardly had any big celebrity promoting it as against Wheel which is promoted by Salman Khan, it still manages to be on top.


COMPANIES ARE REDEFINING THEMSELVES AS COMMUNICATIONS COMPANIES THAT ASSIST CLIENTS TO IMPROVE THEIR OVERALL COMMUNICATIONS EFFECTIVENESS BY OFFERING STRATEGIC AND PRACTICAL ADVICE ON MANY FORMS OF COMMUNICATION.



Sunday, 17 August 2014

DISTRIBUTION

DISTRIBUTION

The path a product takes from the producer to the end consumer.

Unilever has a strong distribution channel through which it reaches all their target consumers, rural or urban.

 DISTRIBUTION CHANNEL OF SURF EXCEL

Consumers have easy access as it is widely available in


  • Grocery shops: Every round-the-corner shops keep mostly all sizes of Surf Excel.
  • Hypermarkets: Hypercity, BigBazaar, StarBazaar, Best Price etc
  • Online: indiamart.com , aaramshop.com , bigbasket.com etc.






Wednesday, 13 August 2014

PRICING

PRICING


Price is not just a number on a tag.


Finding the right pricing strategy is an important element in running a successful business. It generates revenues and profits.


PRICING STRATEGY OF SURF EXCEL

Since Surf Excel was the first detergent and had monopoly it used "Maximum Market Skimming" as its first strategy. HUL first kept the price of Surf Excel high and communicated to the consumers that it is worth paying a little extra for the benefits that it provides.

As the Detergent market evolved and competitors entered the market it had to reduce its prices and it has now adopted "Maximum Market Share" strategy. Though it targets middle to upper segment only but because of the high reach and aggressive promotion it is the top seller in the category.




PRODUCT

PRODUCT


PRODUCT LEVELS: THE CUSTOMER-VALUE HIERARCHY


There are certain needs that arise from the customer's end that includes:




CORE BENEFIT:

It is the basic need to buy the product. Surf Excel removes dirt and provides cleanliness.

BASIC PRODUCT

Basic value that Surf Excel gives to its user is clean and fragrant clothes.

EXPECTED PRODUCT

It is the product a consumer expects when he picks it up from the shelf. Surf Excel provides quick wash, fragrance and hygiene.

AUGMENTED PRODUCT

An augmented product is a product that gives more benefit than the consumer expected. Consumers buy Surf Excel for their basic need but exceeds their expectation when they realise that only 1 spoon powder is required for a bucketful of clothes and it minimises wastage of water and keeps their hands soft unlike a soap cake.

POTENTIAL PRODUCT

Augmentation and transformations the product or offering might undergo in the future. Here is when companies search new ways to satisfy customers and distinguish their offering.


PRODUCT HIERARCHY


The product hierarchy stretches from basic needs to particular items that satisfy those needs.

  • NEED FAMILY : The core need : Home Care
  • PRODUCT FAMILY: Product classes that satisfy core need: Fabric Care
  • PRODUCT CLASS: A group of products within the Product Family: Surf Excel liquid, soap cakes and detergents.
  • PRODUCT LINE: Group of products which performs similar functions: Surf Excel and other brands from same company or other.
  • PRODUCT TYPE: Range of products: Surf Excel Quick Wash, Surf Excel Matic etc
  • ITEM: Stock Keeping Unit: Surf Excel is available in 50 grams sachet, 100 grams, 250 grams, 500 grams, 1 kg, 5 kg



PRODUCT MIX

A product mix is the set of all products and items a particular seller offers for sale. HUL's product mix has certain width, length, depth and consistency.

Width: It is the different product line the company carries. HUL has three categories.
  1. Personal Care
  2. Home Care
  3. Food


Length: Total number of items in the mix. HUL ha about 42 products.



Depth: Variants that are offered of each product in the line. Surf Excel's variants are:







Consistency: It describes how closely related the various product lines are in end use, production requirements, distribution channels or some other way. Surf Excel has consistently satisfied a washing need.  











Tuesday, 12 August 2014

PRODUCT LIFE CYCLE

PRODUCT LIFE CYCLE

Every product that is introduced in the market comes with a shelf life. It typically undergoes four stages. FMCG products usually have longer life cycle as people once buy a product, continue to buy it for a longer period of time till its inventory lasts.

The four stages of a Product Life Cycle are:


    1.  Introduction Stage:

Surf Excel was introduced in 1959 as "Surf" in India under HUL. As it was a new to the world category it had the first movers advantage.

2. Growth Stage:


As the detergent market started growing in India many of the competitors came into picture with better prices. Surf Excel introduced variety of products and changed its campaign from " Lalitaji - Surf ki kharidaari mien hi samajhdaari hai" to " Daag ache hai". 


 3.  Maturity Stage:

Sales peak during this stage. Since a long time Surf Excel has stayed in the maturity stage as it has the highest market share. Many competitors introduce their products. The company should modify and upgrade their products to stay at the peak.

4. Decline Stage:

Sales drop down at this stage. Profit is the lowest in this period. The company changes its focus and concentrates on loyal customers or changes the target group to comparatively lower income groups so as to maintain sales.

CONCLUSION:


According to the Financial Report of HUL (2012-2013) Surf Excel Detergent and Soap markets have grown from 46% to 49%.

Surf Excel is in its maturity phase as it has the highest market share.
The biggest challenge the company is facing is:


  • To maintain its market share with so many competitors with lower prices.
  • Therefore it is introducing more range of products and technologically upgrading. 
  • They are widening their scope to rural markets. All this has lead to sustainable growth.






Monday, 11 August 2014

MARKETING MIX





Marketing Mix is crucial when deciding a product offering.

It consists of 4 Ps:



  1. Product
  2. Price
  3. Place
  4. Promotion
THE ABOVE TOPICS ARE EXPLAINED IN DETAIL IN THE FOLLOWING BLOGS

Sunday, 3 August 2014

COMPETITION AND INDUSTRY

COMPETITION AND INDUSTRY



Every successful business has competitors.  Your competitor could be a new business offering a substitute or a better product. Knowing who your competitors are and what are they offering can help the company to make their products, services and marketing stand out.



Competitors are of two types:

v  INDIRECT COMPETITORS

  Ø  Soap Cakes:
§  Nirma
§  501
§  Henko
§  Rin Supreme
§  Sunlight
§  Wheel

The price of the above mentioned products are as low as Rupees 5- 15. Many households in both urban and rural areas still use soap cakes and also the low-income households who do not use washing machines.

  Ø  Liquid Detergent:
§  Vanish
§  Henko
§  Tide Bleach
§  Ezee
§  Ujala
§  Rin
§  Robin

The above-mentioned products are priced near to the price of the detergent powder. But powder out - performs the liquid as the liquids are used very rarely, like for delicate material clothes. Most households prefer detergent powder for their daily use.



v  DIRECT COMPETITORS

  Ø  Detergent Powders:
§  Ariel
§  Tide
§  Nirma
§  Vanish
§  Henko
§  Robin
§  Wheel
§  Mr. White

Surf Excel’s biggest competitor in the price segment is Tide.